Derivative Securities Credits: 3

Catalog description

This course is designed to introduce students to the basic principles of financial risk management. The student should develop a working knowledge of issues regarding both the theoretical valuation and application of derivative securities. Applications will focus on techniques designed to manage financial risks in the corporate environment. Specifically, the course will focus on using futures, options, and swaps to hedge financial risks. Valuation issues will be explored to identify theoretical pricing fundamentals that can be applied toward valuing newly developed securities. Recommended preparation: FIN 325 or FIN 5509 .